GET SPA BUSINESS
magazine
Yes! Send me the FREE digital editions of Spa Business and Spa Business insider magazines and the FREE weekly Spa Business and Spa Business insider ezines and breaking news alerts!
Not right now, thanksclose this window
Uniting the world of spa & wellness
Get Spa Business and Spa Business insider digital magazines FREE
Sign up here ▸
News   Features   Products   Company profilesProfiles   Magazine   Handbook   Advertise    Subscribe  
Spa people
Rakesh Patel

Hospitality asset prices are dislocated due to the pandemic, which provides an interesting point in the cycle to invest


At a time when companies in the hospitality sector are facing unprecedented challenges, private equity firm Alta Capital Real Estate has grasped the opportunity to invest in undervalued wellness hospitality assets across Asia-Pacific.

It recently launched the Alta Hospitality Fund Asia with the aim of “repositioning, rebranding and redeveloping assets for the post-COVID world in order to deliver solid returns”. It aims to create a portfolio value of US$50m (€42m, £36m) and deliver a return of 15-25 per cent over six years.

The fund is being helmed by former HSBC head of equities for Asia-Pacific, Rakesh Patel, who decided to launch it because it’s timely to do so, but also because he has a personal passion for wellness stemming from an ‘incurable’ illness as a teenager which he overcame by following the Gerson Therapy regime.

“Hospitality asset prices are dislocated due to the pandemic, which provides an interesting point in the cycle to invest,” he explains, “plus, we’re predicting accelerated growth in wellness in the future, because people have become increasingly conscious of their physical and mental wellbeing.”

Alta quotes GWI figures, reporting that the wellness tourism market is projected to achieve a compound annual growth rate of nearly 7 per cent between 2020 and 2025, reaching US$1.1bn (€923.8m, £792.6m) in revenues by 2025.

Consequently, Patel argues it makes good sense to reposition assets for this structural trend, saying: “acquiring assets at this point helps us manage our downside risk while giving us an attractive upside reward.”

The company won’t invest in standalone spas, but will focus on hospitality assets that either already have an existing wellness component or could be repositioned that way. It has a particular interest in acquiring boutique hotels, wellness retreats and villa communities with 50-150 keys and already has its sights set on a property in Bali, as well as a development in Galle, Sri Lanka with a “premier wellness retreat”.

Patel – himself a trained LEED professional – believes consumers are not only looking for more meaningful travel that incorporates traditional and modern wellness practices and authentic local experiences, but that they’re also increasingly mindful of brands’ approach to the environment, their employees and their attitude towards the communities in which they operate.

To this end, both wellness and sustainability will be at the heart of Alta’s investment strategy. Each project will operate sustainably, incorporating smart-building design elements, such as water recycling, energy efficiency and proper site orientation to boost operating efficiency and minimise CO2 emissions.

A “premier wellness retreat” in Sri Lanka is one investment Credit: photo: ©Alta capital real estate
FEATURED SUPPLIERS

Elevate your spa business: master global standards and thrive in Saudi Arabia's tourism boom
Discover how to prepare your spa or wellness facility for the influx of international guests and meet global standards as tourism in Saudi Arabia surges. [more...]

Yon-Ka Paris introduces groundbreaking CBD serum and treatment
A key player in the wellness industry since 1954, Yon-Ka Paris has dedicated its expertise to developing exceptional, naturally rejuvenating and high-performance products which suit modern lifestyles. [more...]
+ More featured suppliers  
COMPANY PROFILES
Balanced Body®

Balanced Body is the global leader in Pilates equipment and education. Founded over 47 years ago, we [more...]
Bioline Jatò

Bioline Jatò is a family Italian company operating in the professional skincare industry since 197 [more...]
+ More profiles  
CATALOGUE GALLERY
 

+ More catalogues  

DIRECTORY
+ More directory  
DIARY

 

22-24 Apr 2024

UK Aufguss Championships

Galgorm Resort, York,
23-25 Apr 2024

ISPA Conference 2024

Phoenix Convention Center, Phoenix, United States
+ More diary  
 
ABOUT LEISURE MEDIA
LEISURE MEDIA MAGAZINES
LEISURE MEDIA HANDBOOKS
LEISURE MEDIA WEBSITES
LEISURE MEDIA PRODUCT SEARCH
 
SPA BUSINESS
SPA OPPORTUNITIES
SPA BUSINESS HANDBOOK
PRINT SUBSCRIPTIONS
FREE DIGITAL SUBSCRIPTIONS
ADVERTISE . CONTACT US

Leisure Media
Tel: +44 (0)1462 431385

©Cybertrek 2024
Uniting the world of spa & wellness
Get Spa Business and Spa Business insider digital magazines FREE
Sign up here ▸
News   Products   Magazine   Subscribe
Spa people
Rakesh Patel

Hospitality asset prices are dislocated due to the pandemic, which provides an interesting point in the cycle to invest


At a time when companies in the hospitality sector are facing unprecedented challenges, private equity firm Alta Capital Real Estate has grasped the opportunity to invest in undervalued wellness hospitality assets across Asia-Pacific.

It recently launched the Alta Hospitality Fund Asia with the aim of “repositioning, rebranding and redeveloping assets for the post-COVID world in order to deliver solid returns”. It aims to create a portfolio value of US$50m (€42m, £36m) and deliver a return of 15-25 per cent over six years.

The fund is being helmed by former HSBC head of equities for Asia-Pacific, Rakesh Patel, who decided to launch it because it’s timely to do so, but also because he has a personal passion for wellness stemming from an ‘incurable’ illness as a teenager which he overcame by following the Gerson Therapy regime.

“Hospitality asset prices are dislocated due to the pandemic, which provides an interesting point in the cycle to invest,” he explains, “plus, we’re predicting accelerated growth in wellness in the future, because people have become increasingly conscious of their physical and mental wellbeing.”

Alta quotes GWI figures, reporting that the wellness tourism market is projected to achieve a compound annual growth rate of nearly 7 per cent between 2020 and 2025, reaching US$1.1bn (€923.8m, £792.6m) in revenues by 2025.

Consequently, Patel argues it makes good sense to reposition assets for this structural trend, saying: “acquiring assets at this point helps us manage our downside risk while giving us an attractive upside reward.”

The company won’t invest in standalone spas, but will focus on hospitality assets that either already have an existing wellness component or could be repositioned that way. It has a particular interest in acquiring boutique hotels, wellness retreats and villa communities with 50-150 keys and already has its sights set on a property in Bali, as well as a development in Galle, Sri Lanka with a “premier wellness retreat”.

Patel – himself a trained LEED professional – believes consumers are not only looking for more meaningful travel that incorporates traditional and modern wellness practices and authentic local experiences, but that they’re also increasingly mindful of brands’ approach to the environment, their employees and their attitude towards the communities in which they operate.

To this end, both wellness and sustainability will be at the heart of Alta’s investment strategy. Each project will operate sustainably, incorporating smart-building design elements, such as water recycling, energy efficiency and proper site orientation to boost operating efficiency and minimise CO2 emissions.

A “premier wellness retreat” in Sri Lanka is one investment Credit: photo: ©Alta capital real estate
LATEST NEWS
Six Senses La Sagesse launches with lagoon-fronted spa inspired by Caribbean fishing villages
Six Senses has announced the grand opening of its first-ever property and spa in the Caribbean, called Six Senses La Sagesse.
Basic-Fit trials corporate wellness drive across its Spanish clubs
Basic-Fit has signed up to trial the Wellhub network across its recently expanded Spanish network, giving access to subscribers and enabling them to use all 152 of its Spanish clubs.
Go Fit CEO, Mário Barbosa, unveils expansion plans in this month’s HCM
Having redefined the model of public-private collaboration in Spain, Go Fit is now expanding into Italy and has ambitious plans to grow its estate, memberships and profits.
US$60m Zion Canyon Hot Springs project breaks ground in Southern Utah
A brand new desert hot springs oasis, called Zion Canyon Hot Springs, is set to open in Southern Utah in Q3 of 2025.
Dedicated recovery clubs tipped to become a trend
Recovery, social wellness and longevity were talking points at the recent PerformX Live, tipped by many speakers as upcoming trends, while the exhibition halls featured infrared saunas, compression therapy and ice baths.
Research: Kundalini yoga provides cognitive benefits to postmenopausal women at risk of Alzheimer's
A new study by UCLA Health found Kundalini yoga provided several benefits to cognition and memory for older women at risk of developing Alzheimer’s disease.
New lakeside spa oasis set to open at The Ritz-Carlton-Reynolds, Lake Oconee
Luxury lakeside retreat The Ritz-Carlton-Reynolds, Lake Oconee in Georgia, US, is gearing up to unveil its new-look destination spa this May following a comprehensive makeover.
Europe's premier Evian Spa unveiled at Hôtel Royal in France
Europe’s first Evian Spa has opened at the five-star Hôtel Royal in Evian-les-Bains, France – the birthplace of the mineral water brand Evian.
Atzaró Okavango Camp and wellness retreat to launch in Botswana wildlife haven
A boutique safari and wellness escape will open in Botswana’s wildlife-rich Okavango Delta this May, marking the latest venture from Ibiza's Atzaró Group.
Global summit will bring together industry leaders in health, fitness and wellness
Global publishing outfit, Leisure Media, has announced details of its new annual conference for decision- makers across the health, fitness and wellness markets. The event – the HCM Summit – will be held at the QEII Conference Centre in Westminster, London on 24 October 2024, with pre-summit events the day before.
Ronaldo crashes the app store with launch of new wellness, fitness and health app, Erakulis
Portugese footballer, Cristiano Ronaldo, has launched a health and wellness app that harmonises advice on fitness, nutrition and mental wellness in one seamless experience.
Research: Timing of exercise more important than workout type or length in ensuring health benefits
Spas which offer a fitness element might benefit from thinking about the timings of sessions, according to new research from Leiden University Medical Center in the Netherlands.
+ More news   
 
FEATURED SUPPLIERS

Elevate your spa business: master global standards and thrive in Saudi Arabia's tourism boom
Discover how to prepare your spa or wellness facility for the influx of international guests and meet global standards as tourism in Saudi Arabia surges. [more...]

Yon-Ka Paris introduces groundbreaking CBD serum and treatment
A key player in the wellness industry since 1954, Yon-Ka Paris has dedicated its expertise to developing exceptional, naturally rejuvenating and high-performance products which suit modern lifestyles. [more...]
+ More featured suppliers  
COMPANY PROFILES
Balanced Body®

Balanced Body is the global leader in Pilates equipment and education. Founded over 47 years ago, we [more...]
+ More profiles  
CATALOGUE GALLERY
+ More catalogues  

DIRECTORY
+ More directory  
DIARY

 

22-24 Apr 2024

UK Aufguss Championships

Galgorm Resort, York,
23-25 Apr 2024

ISPA Conference 2024

Phoenix Convention Center, Phoenix, United States
+ More diary  
 


ADVERTISE . CONTACT US

Leisure Media
Tel: +44 (0)1462 431385

©Cybertrek 2024

ABOUT LEISURE MEDIA
LEISURE MEDIA MAGAZINES
LEISURE MEDIA HANDBOOKS
LEISURE MEDIA WEBSITES
LEISURE MEDIA PRODUCT SEARCH
PRINT SUBSCRIPTIONS
FREE DIGITAL SUBSCRIPTIONS